National residential property prices could climb 3.2 percent over the next 12 months, but the country’s capital Metro Manila, particularly its financial district Makati, is expected to stay weak both in prices and rents.
A report Q4 Philippines Property Index & Survey by Juwai IQI that surveyed online 192 Philippine real estate agents in September and October this year showed that real estate agents forecast national residential prices will climb 3.2 percent over the coming 12 months, while prices in Makati City are set to decline by 2.3 percent during the same period.
But the report noted that 2022 is expected to be much more favorable for real estate prices. Nationally, the industry expects prices to climb 16.9 percent by Q4 2022. In Makati City, prices are forecast to rise by 14.8 percent during the same period.
Nationally, the industry forecasts that rents will climb 1.9 percent in the next 12 months and by 13.2 percent over the next two years. Agents forecast that Makati City rents will decline by 6.6 percent over the next year before logging a 12.3 percent increase in 24 months.
Nationally, local investors and foreign buyers each account for 27 percent of residential pre-sales acquisitions, more than any other buyer group. In Makati City, investors account for 30 percent of all buyers in this segment — the highest of any buyer group.
In both the national subsales and primary markets, local investors and foreign buyers account for 27 percent of transactions – more than any other buyer group. In Makati City, local investors are the dominant buyer group. They account for 27 percent of all purchases in the pre-sales market and 31.5% of transactions in the subsales market.
Twenty-five per cent of industry respondents report future transaction growth is likely to come from foreign buyers.
Among foreign buyers, Mainland Chinese are the most active, followed by Hong Kong Chinese, and buyers from Taiwan. The survey also showed that industry believes that foreign buyer demand remains relatively robust, with half of agents reporting that mainland Chinese are likely to increase purchases in the fourth quarter of 2020.
Forty-nine per cent of the industry expects o!shore gaming-related transactions to increase in the year to come. In Makati City, 56% of industry experts expect o!shore gaming transactions to increase.
Juwai IQI is the Asian real estate technology group that empowers residents of Asia to become residents
of the world, sold US$1 billion of property in 2019, engages 5.5 million monthly active users, and advertises US$4 trillion of property from 111 countries every year.
#realestateblogph | #realestateblogphpropertynews | #REBPH | #realestate | #realestaterecovery | #MetroManila
Article and Photo originally posted by Manila Bulletin last November 20, 2020 6:30am and written by Bernie Cahiles-Magkilat.
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